Green Envirotech Holdings Corp (GETH)

[pseeker]

They have no choice, they will be out of shares shortly. No discretion
needed, it's obvious...

As of June 10, 2019: (i) 493,985,986 shares of common stock were issued and outstanding and 255,568,512 shares of common stock were reserved for issuance upon conversion of promissory notes and exercise of outstanding warrants; (ii) none of the shares of Series B 12% Convertible Cumulative Preferred Stock were issued and outstanding; and (iii) an aggregate of $1,800,018 in principal amount of convertible notes were outstanding, convertible into approximately 716,821,400 shares of common stock, based on our closing trading price on that date of $0.0005 per share, a 20-day low of $0.0004 per share, and an assumed weighted average discount rate of 40% below the market price applicable to the convertible notes.



Certain noteholders are converting at such a rapid pace that we are unable to accommodate the reserve shares requirement from our unissued shares. We do not have the financial resources to repay the noteholders at this time nor enough time to facilitate new funding to stop the conversions that continue to lower the price of our stock in the market, which increases the reserves needed to supply the conversions. Our 750,000,000 authorized shares of common stock will be consumed rapidly if we are not able to stop this trend. Therefore, it is the consensus of management and the shareholders to authorize a reverse split of our common stock in order to increase the price per share in the market and to reduce the outstanding number.